BYLAWS. District Council for New York City and Vicinity of the United Brotherhood of Carpenters and Joiners of America

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1 BYLAWS District Council for New York City and Vicinity of the United Brotherhood of Carpenters and Joiners of America August 5, 2011

2 District Council for New York City and Vicinity of the United Brotherhood of Carpenters and Joiners of America PREAMBLE WHEREAS, our aim will be to promote and protect the interest of our membership, to elevate the moral, intellectual and social conditions of all working men and women, to assist each other in sickness and distress; WHEREAS, we intend to encourage apprenticeship and a higher standard of skill, to cultivate a feeling of friendship, and to assist each other to secure employment; WHEREAS, we shall aid and assist all organizations to uphold the dignity of labor and resist oppression by honorable means; WHEREAS, we hold it as a sacred principle, that union members, above all others, should set a good example as good and faithful workers, performing their duties to their employer with honor to themselves and to their organization; WHEREAS, we resent the principle of open shop association, and will continually strive for the enactment of legislation which will enable us to achieve our objectives; WHEREAS, realizing that a blow at one organization is a blow to all, we recognize that it is our duty as union members to purchase union-made goods and patronize union shops and business establishments whenever possible to do so; THEREFORE, with the above-stated aims and principles in mind, the Local Unions in the vicinity of New York, New York are affiliated into an organization known as the District Council for New York City and Vicinity of the United Brotherhood of Carpenters and Joiners of America in conformity with the provisions of the Constitution of the United Brotherhood. BYLAWS NAME AND TITLE Section 1. This body is chartered and known as the District Council for New York City and Vicinity of the United Brotherhood of Carpenters and Joiners of America (herein Council or District Council ). This Council is organized in conformity with the Constitution of the United Brotherhood and shall exercise the powers and privileges of a Council under the Constitution and Laws of the United Brotherhood. 1

3 CONSISTENCY WITH JUDICIAL ORDERS Section 2. These Bylaws are intended to conform with any and all relevant provisions of the Consent Decree, the Stipulation and Order entered on June 3, 2010, and any other Order entered in the matter of United States v. District Council et al., 90 Civ (SDNY) (RMB). Any provision of these Bylaws that is inconsistent therewith shall be null and void, and of no force or effect. OBJECTS Section 3. The objects of this Council shall be to promote and protect the interest of our membership through broadly democratic institutions free of corrupt influence, to encourage the apprenticeship system and higher standard of skill, to secure adequate pay for our work, to elevate the standard of our craft, to cultivate a feeling of friendship among the members of this Brotherhood, to assist our members in procuring employment and to protect our members by legal and proper means against any injustice that may be done to them, and improve the moral, social and intellectual conditions of our members and all working people. Section 4. DISTRICT COUNCIL POWERS GENERALLY (A) This Council shall be the central governing body over and shall have legislative and executive powers on all matters relating to the general interest and welfare of affiliated Local Unions and their members. The Council shall establish working dues or monthly dues (that are sufficient to operate the Council, as determined by an assessment of the prior year s operating expenses and the projected budget for the period under consideration) payable to the Council and initiation fees. It shall have the power to collect and retain all fines levied by the Council for violation of the laws, trade and other rules of the Council. The Council shall have the power to issue the quarterly work card. It shall have the power to make agreements with kindred bodies or central organizations and send Delegates to same whenever deemed necessary. The Council shall have the power to hire, discipline, promote, and fire all employees of the Council, including Organizers and Representatives, in accordance with the established District Council Personnel Policy, effective January 31, 2011, as updated and amended (the District Council Personnel Policy ). No Council Officer or Executive Committee Delegate shall receive salary or other compensation or hold an elected or appointed position as an Officer of an affiliated local union. Except for clerical employees of Local Unions, all persons employed on matters within the jurisdiction of the Council, including Business Representatives and Organizers, shall be employees of the Council. No person shall be an employee of an affiliated Local Union except for persons employed in clerical positions, subject to the District Council Personnel Policy. Upon approval of these Bylaws, all Local Union employment positions, except for clerical positions, shall cease to exist. Furthermore, the Council shall have all other powers provided for in the Bylaws. The governance, finance and administration of the District Council and its affiliated local unions shall at all times be in compliance with applicable law. (B) The full plenary power and authority of the District Council is hereby vested, without limitation, in the Delegates to the Council that shall collectively form the Council Delegate Body. In accordance with Section 7 of these Bylaws, the Council Delegate Body shall be elected by the rank and 2

4 file members of the United Brotherhood of each affiliated Local Union. There shall be a total of One Hundred (100) Delegates to the District Council from the Local Unions, such Delegates to comprise the Council Delegate Body. Each Local Union shall have at least one Delegate to the District Council, with the remaining Delegates allocated proportionally amongst the Local Unions based upon the total membership of each Local Union as a percentage of the aggregate membership of all Local Unions of the District Council. The Council Delegate Body shall exercise the authority granted to it in Section 5 of these Bylaws by majority vote and each Delegate shall be elected for a term of three (3) years. In the event of a tie vote, the President shall cast the tie-breaking vote. (C) These Bylaws and any other rules, resolutions and directives adopted by the Council shall govern and be binding on each Local Union affiliated with the Council. POWERS AND DUTIES OF THE COUNCIL DELEGATE BODY Section 5. The Council Delegate Body shall have the following enumerated powers and duties: (A) The Council Delegate Body shall have the exclusive authority to consider, vote upon and finally make decisions on all matters affecting the Council, as provided for in the Bylaws. The Council Delegate Body shall also have authority to raise and finally resolve any matter within the jurisdiction of the Council on its own initiative. (B) Without limiting the Council Delegate Body s responsibilities or authority, the Council Delegate Body must: 1. Meet at least monthly and more often as prudence or exigent circumstances may require to receive and review the Organizing Report, Membership Retention Report, and Political and Legislative Report as identified in Section 22 below, and request additional information as necessary; 2. Review and approve or reject by June 30 of each year the budget for the Council for the following year; 3. Review and approve or reject, in advance, all expenditures of the Council, including expenditures of the Council Officers, above Two Hundred Dollars ($200); provided further that the Delegate Body may establish in writing standing appropriations for designated amounts, not to exceed Five Hundred Dollars ($500.00), for specific, recurring bills of the District Council; 4. Review and approve or reject, within one month after they have been incurred, all expenditures of the Council, including expenditures of the Council Officers, below Two Hundred Dollars ($200); provided further, that the Delegate Body may pre-approve, in writing, expenditures for specific items within Two Hundred Dollars ($200); 5. Review and approve, reject or revise annually the overall organizing plan of the Council, which shall include, but not be limited to, information 3

5 regarding industry targets, developments in ongoing programs, obstacles faced and the involvement of volunteer organizing committees with organizers in jobsite actions, and housecalls; notwithstanding any other provision in the Bylaws, the overall organizing plan of the Council may be approved by a simple majority vote of the Delegates, but only repealed by two thirds vote of the Delegates; 6. Provide instruction to the Executive Committee and review, approve or reject all decisions of the Executive Committee; 7. Review and revise all draft contracts of the Council and approve or reject all such contracts prior to their execution, including, but not limited to, those contracts relating to the employment of service providers, outside legal counsel or other professional advisors. No contract shall be approved unless the District Council shall have issued a Request for Proposal ( RFP ) to at least five (5) potential counterparties and received at least three (3) proposals in response. In deciding among the responses to an RFP and approving any contract, the Council Delegate Body must consider the following factors, among others: The cost of the contract as compared to the other proposals received, the qualifications of the counterparty (including prior experience providing similar services), the reputation and integrity of the counterparty, and any relationship(s) between the counterparty and District Council employees, Officers or Delegates (which may be a factor warranting disqualification); 8. Review and approve or reject, in advance, all Collective Bargaining Agreements following a recommendation from the Executive Committee. If a Collective Bargaining Agreement is rejected, the Delegate Body shall promptly inform the Executive Committee in writing of any provision(s) that caused, or will cause as indicated by a non-binding vote, in whole or in part, the rejection. 9. Approve or reject the appointment and removal of Trustees to the Trust Funds and appoint and remove representatives to the Council s Rules and Resolutions Committee, District Council Grievance Committee, District Council Election Committee, and such other committee(s) it deems necessary. Such appointments shall be based on the following qualifications, including but not limited to, training, ability, experience, reputation and integrity, and absence of disqualifying conflicts of interests. The District Council shall establish in writing the duties and responsibilities of each Committee. 10. Review and approve or reject, in advance, the hiring (including the compensation and other terms of employment), firing or discipline of Council representatives and organizers, in accordance with the established District Council Personnel Policy; 4

6 11. Appoint individuals to fill vacancies in the positions of Chief Accountant, Inspector General, Deputy Inspector General, Chief Compliance Officer, Deputy Chief Compliance Officer, Director of Human Resources, Director of Operations, and Director of Organizing, subject to the provisions of Sections 10, 12, 13, 27, 28, and 29; 12. As provided for herein, receive and review written presentations from the Inspector General on the integrity of the District Council, including the identification and status of all pending complaints and investigations completed, subject to necessary precautions to protect the integrity of ongoing investigations, as determined by the Inspector General; 13. Quarterly, receive and review written presentations from the Chief Compliance Officer on the implementation and administration of the District Council s compliance and ethics program; 14. Quarterly, receive and review written presentations from the Chief Accountant on the status of the District Council s finances and the implementation and administration of the accounting and financial controls program, as required by the policies and procedures established pursuant to Section 13(B) hereto; 15. Quarterly, receive and review written presentations from the Director of Human Resources on the implementation and administration of the District Council s Personnel Policy; 16. Review on a quarterly basis, through a subcommittee of the Delegate Body, or more often as the Council Delegate Body deems appropriate, the District Council s job referral activities and records to determine that job referrals are being conducted fairly and properly, in accordance with the job referral rules; 17. Establish an Audit Committee of the District Council that shall consist of the UBC District Vice-President or his designee; Legal Counsel; a Certified Public Accountant; the Inspector General; and two (2) Delegates from the Council Delegate Body (elected by the Council Delegate Body). The Audit Committee shall be responsible for monitoring compliance with the financial requirements of the District Council Bylaws, reviewing the District Council s financial systems and procedures, making recommendations regarding best practices on a periodic basis, monitoring the District Council so that no financial fraud or corruption occurs, and shall meet no less than once every month. The Audit Committee shall report quarterly to the Delegate Body or more frequently if requested to do so by the Delegate Body. The Audit Committee may require any employee, Officer, or Delegate to the District Council to appear before the Audit Committee and provide information as requested. The Audit Committee shall develop policies and procedures for the Audit Committee, which shall be subject to 5

7 the approval of the United States Attorney s Office for the Southern District of New York (the United States Attorney ) and the Review Officer appointed pursuant to the June 3, 2010 Stipulation and Order in United States v. District Council, et al., 90 Civ. 5722, SDNY (RMB) (the Review Officer and the Stipulation and Order, respectively), and set forth in a separate document. If the Audit Committee does not submit such policies and procedures to the Review Officer for approval by March 15, 2012, the Review Officer may draft such policies and procedures for approval by the United States Attorney. The Audit Committee must conduct its activities in accordance with those policies and procedures, and may not modify them without the prior approval of the United States Attorney and, during the Review Officer s tenure, the Review Officer. 18. The District Council s Trustees shall sign and submit to the Audit Committee a written report on a monthly basis, or more frequently if requested to do so by the Audit Committee, regarding all expenditures of the District Council, including but not limited to, representing that the expenditures approved and/or incurred by the District Council are in accordance with the District Council s Expense Policy, Bylaws, and applicable law. The District Council s Chief Accountant shall report in writing to the Audit Committee on a quarterly basis. The Council Delegate Body may by a vote of two thirds of its members order an audit of the expenditures or financial condition of the District Council by an independent outside auditor, retained in accordance with the requirements of Section 4(B)(7) of the Bylaws. No Officer of the District Council may be appointed to the Audit Committee. The term Officer shall not be interpreted to include employees of the District Council, the Inspector General, the Chief Compliance Officer or Delegates. (C) All approvals, rejections or revisions by the Council Delegate Body must be supported by a majority of the Council Delegates after due consideration and discussion of all relevant points of view, in accordance with the UBC Constitution and Laws and/or recognized parliamentary procedure, at a meeting of the Council Delegate Body. To the extent that the Council Delegate Body withholds any approval required by Sections 4(A) or 4(B) in advance of any action, the District Council may not proceed with the proposed course of conduct. (D) No approval by the Council Delegate Body of any change in compensation for a District Council employee, or class of District Council employees, shall be effective until after the next election of District Council Delegates if the affected employee or any member of the effected class of employees, is also a member of the Council Delegate Body. 6

8 (E) All Delegates of the Council Delegate Body shall be compensated at the rate of Seventy-five Dollars ($75) per meeting, but such compensation shall not exceed Two Hundred Dollars ($200) in any month, regardless of the number of meetings held. (F) No Delegate of the Council Delegate Body shall be subject to any adverse employment action, harassment, intimidation, threats, or coercion by the District Council, the Council Delegate Body or any Officer thereof for exercising, in good faith, the authority of, or fulfilling the duties of, a Council Delegate as provided for in these Bylaws. Any Delegate that believes that he or she has been subject to a violation of this section may file a complaint with the Chief Compliance Officer and the Inspector General, who shall conduct a joint investigation of the merits of such complaint. Upon completion of that investigation, no later than ninety (90) days following receipt of the complaint, either the Chief Compliance Officer or the Inspector General may refer the matter to the Trial Committee, the Review Officer (to the extent such a Review Officer is in place), or the United States Attorney, as appropriate. The foregoing shall not limit any Delegate s right to also file a complaint with the General President of the United Brotherhood, as provided for under Section 53(G) of the UBC Constitution. In addition to the foregoing, any District Council Delegate may file a complaint with the Trial Committee Chairman and thereby initiate an arbitration to be conducted before a three-member panel consisting of the Trial Committee Chairman, Trial Committee Vice Chairman, and a third arbitrator to be chosen by the Trial Committee Chairman and Trial Committee Vice Chairman. All decisions of said panel must be supported by substantial evidence and any party to the proceeding may seek review of a decision with the District Court. (G) Any Delegate, or the Council Delegate Body, may file a complaint or raise any concerns regarding the District Council, its Officers, or the Council Delegate Body with the United States Attorney, the Review Officer (to the extent such a Review Officer is in place), or the General President of the United Brotherhood, as provided for under Section 53(G) of the UBC Constitution. OFFICERS OF THE COUNCIL Section 6. The Officers of this Council shall consist of President, Vice President, Executive Secretary-Treasurer, Warden, Conductor, and three (3) Trustees (collectively, the Officers ). The term of these offices shall be three (3) years. The member serving as Executive Secretary-Treasurer shall be limited to two (2) terms in office. The only Officer position of the District Council that shall be compensated by salary shall be the Executive Secretary-Treasurer position. Section 7. NOMINATIONS AND ELECTIONS (A) The nomination, election and installation of Officers of the Council shall be governed by Paragraph 5(k)(i)-(iv) of the Stipulation and Order and the rules promulgated 7

9 thereunder, any applicable order of the District Court, the Constitution and Laws of the United Brotherhood, and in accordance with the following provisions: (B) Candidates for President, Vice President, and Executive Secretary-Treasurer shall be elected by secret ballot vote of the membership directly. Candidates for Warden, Conductor and the three (3) trustees shall be elected by the Delegate Body. Candidates for all such offices must be working within the bargaining unit represented by their Local Union, or employed full time within the framework of the United Brotherhood of Carpenters to be eligible. (C) Council Delegates shall be elected in accordance with the Constitution of the United Brotherhood. Council Delegates shall be elected for a term of three (3) years. (D) Each Local Union president shall notify the Executive Secretary-Treasurer, by certified mail, of the names of the elected Delegates before July 1st of each year. The Executive Secretary-Treasurer of the Council shall notify these Delegates by mail that nominations and elections of the Council Officers will be held at the regular Council meeting in August, unless some other time is established by the Review Officer, Court, or by agreement of the parties to the Stipulation and Order entered June 3, (E) Absent the requirements of an order of the District Court, the nomination, election, and installation of Officers of the Council shall be governed by the Constitution and Laws of the United Brotherhood, and these Bylaws. DUTIES OF THE PRESIDENT Section 8. It shall be the duty of the President to preside at all meetings of the Council, enforce a due observance of the Constitution and Laws of the United Brotherhood, conduct the same according to parliamentary rules and perform such other duties as designated by the body. The President shall receive a stipend of Three Hundred Dollars ($300) each month for the performance of said duties. DUTIES OF THE VICE PRESIDENT Section 9. The Vice President shall assist the President in the performance of his or her duties and conduct meetings in his or her absence. The same rules are to govern as are applied to the President. The Vice President shall receive a stipend of Two-Hundred Dollars ($200) each month for the performance of said duties. Section 10. DUTIES OF THE EXECUTIVE SECRETARY-TREASURER (A) The Executive Secretary-Treasurer shall cause to be kept a detailed record of each Council Delegate Body meeting and a record of all roll-call votes cast by Delegates in such meetings, keep all documents and correspondence, issue all calls for a special meeting, keep a record of all charges, trials, in accordance with the District Council Charge and Trial 8

10 Procedures, and fines, take charge of the seal of the Council and affix same to all official documents, sign all legal orders, keep a correct account between the Council and the Local Unions, receive all monies paid to the Council and shall hold in his or her possession a sum of money not to exceed Seven Thousand Five Hundred Dollars ($7,500) for exigent expenses lawfully incurred by the District Council. The payment of such expenses must be reported in writing to the Chief Accountant and Trustees within Forty-Eight (48) hours of payment being rendered. He or she shall issue quarterly work cards to the affiliated Local Unions. (B) The Executive Secretary-Treasurer shall, subject to the limitations and necessary approvals contained within these Bylaws, be responsible for the management and supervision of the field activities, business office(s), and for conducting the daily business of the Council. The Executive Secretary-Treasurer shall assume all of the duties of the Recording Secretary and Treasurer. The Executive Secretary-Treasurer shall be paid a salary of Two Hundred and Twenty- Five Thousand Dollars ($225,000) per annum which may be increased or decreased by five percent each year if such adjustment be approved by the Delegate Body and may not receive any other compensation from the District Council, other than fringe benefits equivalent to those paid to rank and file members as set forth in the collective bargaining agreement covering the greatest number of members. (C) All monies paid into the Council shall be deposited by the Executive Secretary- Treasurer in the name of the Council in such bank or banks as properly designated by the Executive Committee. (D) The Executive Secretary-Treasurer shall furnish each Local Union with a copy of the quarterly financial report of the Council certified by the Audit Committee. This report shall be signed by the trustees of the Council. (E) The Executive Secretary-Treasurer shall furnish to each Local Union a correct record of each meeting of the Council. (F) The Executive Secretary-Treasurer shall formally log and refer all bills to the trustees for investigation, after which they shall be presented to the Council for approval. In referring bills to the trustees, the Executive Secretary-Treasurer shall provide a log including any receipts, invoices, bills of lading, or other proof that the work in question was performed or the item purchased was received. The Executive Secretary-Treasurer shall also provide the trustees with a summary report of all bills being referred and an explanation of their necessity. The trustees shall provide a summary of such information to the Council Delegate Body along with a recommendation as to whether such bills should be approved. The District Council shall establish procedures for the implementation of this provision. (G) The Executive Secretary-Treasurer is specifically authorized to expend, in accordance with the procedures of these Bylaws and in compliance with 29 U.S.C 501, funds for any or all of the purposes and objects of the Council, subject to the necessary disclosures and approval by the Delegate Body. (H) After documented consultation with the Director of Human Resources, the Executive Secretary-Treasurer shall have the authority to hire, fire or discipline all clerical or 9

11 custodial employees and shall determine their duties, assignments, compensation, hours of employment and conditions. Provided, however, that the Executive Secretary-Treasurer may not hire more clerical or custodial employees than those allowed for by the table of organization developed by the Director of Human Resources. The Executive Secretary-Treasurer shall have the authority to hire, fire or discipline Council representatives and organizers, after receiving the approval of or such recommendation from the Executive Committee and the approval of the Council Delegate Body for such action. The foregoing hiring authority, both with respect to clerical and custodial employees and Council representatives and organizers, shall be exercised in accordance with the District Council Personnel Policy. (I) In accordance with the Bylaws, and subject to the District Council Personnel Policy and the necessary approval of both the Executive Committee and the Council Delegate Body, the Executive Secretary-Treasurer shall have the power and authority to nominate for appointment or propose the removal of representatives for and on behalf of its Local Unions to act as Trustees for all negotiated Employer/Union Trust Funds, including, but not limited to, annuity, health and welfare, pension, apprenticeship, labor-management cooperation committee, vacation savings and holiday plans. No such appointment shall be effective without the consent of both the Executive Committee and the Council Delegate Body. In the event that either the Executive Committee or the Council Delegate Body withholds its consent to an appointment, the Executive Secretary- Treasurer must submit a new candidate to fill the vacant position. In addition, the Executive Secretary-Treasurer has the power and authority to appoint and remove representatives on Joint Apprenticeship and Training Committees. Accordingly, all trust agreements and/or plan documents shall be amended by the authorized representatives of the Local Unions to reflect the forgoing appointment and removal process. (J) The Executive Secretary-Treasurer, by virtue of election to his or her office, shall automatically be deemed an elected Delegate from the Council to the conventions or meetings of the United Brotherhood, State Building and Construction Trades Councils Labor Federations, and any other organizations, conferences or meetings with which the Council may participate or become affiliated with. All necessary notice with respect to this provision shall be provided. (K) The Executive Secretary-Treasurer shall serve as a trustee on any and all trust funds including, but not limited to, health and welfare, pension, labor-management and joint apprenticeship and training funds. (L) The Executive Secretary-Treasurer shall review with the Executive Committee of the Council all minutes of any trust funds meetings with a copy of same to remain at the office of the Council. (M) The Executive Secretary-Treasurer shall be assisted in carrying out his responsibilities and duties by a Director of Operations and a Director of Organizing. The Director of Operations shall assist the Executive Secretary-Treasurer in supervision of the day-to-day operations of the District Council. The responsibilities of the Director of Organizing shall include, but not be limited to, managing field organizers, communicating with parties regarding labor disputes, planning demonstrations, and communicating with Business Centers regarding potential organizing campaigns. The Executive Secretary- 10

12 Treasurer shall recommend to the Executive Committee candidates to fill vacancies in the positions of Director of Operations and Director of Organizing. If approved by the Executive Committee, such recommendations shall be submitted to the Council Delegate Body for final approval. To the extent that the Executive Committee or Council Delegate Body withhold approval of any recommendation made by the Executive Secretary-Treasurer, the Executive Secretary-Treasurer shall recommend additional candidates for consideration. During the period that the Consent Decree is in effect, no proposed appointment of an individual to the position of Director of Operations or Director of Organizing may be finalized without the consent of the United States Attorney. Additionally, during the tenure of the Review Officer, no proposed appointment of an individual to the position of Director of Operations or Director of Organizing may be finalized without the consent of the Review Officer. (N) The Executive Secretary-Treasurer may also, when he deems it necessary and subject to the approval of the Executive Committee, delegate in writing (such writing to contain a detailed description of the delegation and to have been submitted to the Executive Committee prior to approval) any of his authority to a District Council employee or Officer with the requisite skill, experience and training to efficiently and competently perform the assignment. Compensation for services rendered in this regard shall be reasonable and appropriate and consistent with the compensation for equivalent work performed by District Council employees and subject to approval of the Council Delegate Body. DUTIES OF WARDEN AND CONDUCTOR Section 11. The Warden shall take charge of the door at all meetings of the Council and allow no one to enter except those who are entitled to do so. The Conductor takes up the password at all meetings. Section 12. EXECUTIVE COMMITTEE (A) The Executive Committee shall be a subcommittee of the Delegate Body and shall consist of one member of each Local Union nominated and elected by secret ballot of the membership directly, and the President, Vice-President and Executive Secretary-Treasurer. (B) The Executive Committee, in consultation with the Council s Chief Accountant, Audit Committee, and Trustees, shall prepare an annual budget for the Council to be considered, voted upon and finally approved by the Delegate Body. (C) The Executive Committee shall review and make recommendations to the Delegates on all major purchases in excess of One Thousand Dollars ($1,000), after soliciting and considering at least three (3) proposals from vendors. In reviewing and recommending any proposed purchase, the Executive Committee must consider the following factors, among others: the cost and quality of the item as compared to other proposals received, any warranties offered by the seller, the reputation and integrity of the seller, and any relationship(s) between the seller and District Council employees, Officers or Delegates (which may be a factor warranting disqualification). In the event that the Council Delegate Body withholds its approval of a 11

13 purchase, such purchase must not go forward and the Executive Committee may recommend alternative purchases. (D) The Executive Committee shall implement written procedures incorporated in the District Council Personnel Policy describing the methods which must be employed by the District Council to hire, discipline, assess, compensate and terminate its employees. Such procedures shall require that all persons hired as representatives, organizers and agents of the District Council shall have attended a UBC-run three-day assessment program and been rated in the top quarter of persons attending such programs, been subject to criminal background checks and drug testing, been interviewed by a hiring committee comprising no less than three District Council employees or Officers assisted by the HR Director, the Inspector General or his designee and the Chief Compliance Officer or his designee. Said procedures shall further require that standardized questions crafted by the HR Director and others appropriate to the proceedings shall be posed by the hiring committee and that the results of the appraisal of each candidate by the hiring committee be forwarded in writing to the Executive Committee. In reviewing and recommending any proposed personnel decision, the Executive Committee must be governed by the District Council Personnel Policy. In the event that the Council Delegate Body withholds its approval of a personnel decision, such personnel decision must not go forward and the Executive Committee may recommend alternative personnel decisions. (E) The Executive Committee shall make recommendations to the Delegates on the appointment of individuals to fill vacancies in the positions of Inspector General, Deputy Inspector General, Chief Compliance Officer, Deputy Chief Compliance Officer, Director of Human Resources, and Chief Accountant. The Executive Committee shall also approve or reject recommendations by the Executive Secretary-Treasurer of individuals to fill vacancies in the positions of Director of Operations and Director of Organizing. In considering candidates for any of these positions, the Executive Committee must be governed by the District Council Personnel Policy and should consider the proposed candidate s training, ability, experience, reputation and integrity, and any relationship(s) between the proposed candidate and District Council employees, Officers or Delegates (which may be a factor warranting disqualification). Preferred qualifications to be considered for candidates for the positions of Inspector General, Deputy Inspector General, Chief Compliance Officer, and Deputy Chief Compliance Officer include, but are not limited to, licensed private investigator credentials, law enforcement experience, legal experience, internal labor union governance experience, experience with a compliance program and the requirements of Chapter 8 of the Federal Sentencing Guidelines, and certified public auditing experience, as well as appropriate construction industry experience. Preferred qualifications to be considered for candidates for the position of Chief Accountant include, but are not limited to, experience as an independent auditor, certified public accountant, or chief accounting officer or chief financial officer of a labor union or major corporation. Preferred qualifications to be considered for candidates to the positions of Director of Operations and Director of Organizing include, but are not limited to, experience in the operations and management of a labor union or management of a government office with a work force of similar or greater size than the District Council. (F) The Executive Committee shall make recommendations upon specific findings to the Council Delegate Body regarding the hiring, firing or discipline of Council managers, representatives, agents and organizers. 12

14 (G) The Executive Committee shall have the authority and responsibility to provide information about the District Council to the public and the membership including by publishing The Carpenter and effectively maintaining the District Council website. When presenting information to the public and the membership, the Executive Committee shall provide information fairly reflecting the range of positions and points of view on subjects relevant to the District Council and members. (H) The Executive Committee shall have the primary responsibility for drafting, and recommending to the Council Delegate Body for approval, the overall organizing plan of the Council, which shall include, but not be limited to, information regarding industry targets, developments in ongoing programs, obstacles faced and the involvement of volunteer organizing committees with organizers in jobsite actions. In the event that the Council Delegate Body withholds its approval of the overall organizing plan proposed by the Executive Committee, the Executive Committee must present a revised plan for the Council Delegate Body s further consideration. No such plan will be effective until approved by the Council Delegate Body. (I) The Executive Committee shall have the primary responsibility for negotiating, and recommending to the Council Delegate Body for approval, all Collective Bargaining Agreements. (J) All changes or proposed changes to the Bylaws or Trade Rules of this Council or any of the Local Unions affiliated therewith shall be first referred to the Executive Committee for consideration and recommendation pending final approval by the Delegate Body. If approved by the Council and in accordance with Section 11B of the Constitution and Laws of the United Brotherhood (the UBC Constitution ), the proposed change or changes must be submitted to the General Vice President for approval after review of, among other things, whether such change or changes are in conformity with the UBC Constitution, are in the best interests of the District Council, and will further the objectives of the Consent Decree or Stipulation and Order. Notwithstanding the foregoing, nothing herein shall change or limit the authority of the General Vice President pursuant to the UBC Constitution to approve or disapprove changes to these Bylaws. Provided further, all changes or proposed changes to the Bylaws or Trade Rules of the District Council must be made in accordance with the Consent Decree and any other order entered in United States v. District Council, et al., 90 Civ (K) The Executive Committee shall develop and preside over a uniform system of Shop Steward review including guidelines for disciplinary measures when necessary, as set forth in a separate document, which shall be adopted by the Delegate Body. Procedures required for the implementation of said system shall be developed by March 15, 2012 or thereafter be developed and implemented by the Review Officer. The Executive Committee shall establish such necessary criteria to be able to function properly and is authorized to suspend a Shop Steward s skill indefinitely, subject to appeals to the Executive Secretary- Treasurer. The Executive Committee shall regularly review the District Council s referral records in order to satisfactorily determine that job referrals and the appointment of Stewards are being conducted fairly and properly in accordance with the job referral rules and shall report in writing their findings to the Delegates. 13

15 (L) The Executive Committee shall submit a written report on Council operations, financial condition, and other relevant matters to the Delegate Body at each meeting of the Council Delegate Body. TRUSTEES, FINANCIAL CONTROLS AND REPORTING, AND AUDITING Section 13. (A) The Trustees shall supervise all funds and property of the Council subject to such oversight and instructions from the Executive Committee, the Council Delegate Body, and the Audit Committee, as they may receive from time to time. The title to all property of the Council shall be held in the name of the Trustees of the Council and/or their successors in office. The Trustees shall audit all books and accounts of the Executive Secretary-Treasurer (including as enumerated herein in Sections 10(B) 10(G) and as may be otherwise maintained) at least monthly and report their findings to the Council Delegate Body and perform such other duties as the Council may require. The Trustees shall, with the assistance of the Chief Accountant, audit all receipts and accounts of any other person authorized to collect funds. The Council shall engage a certified or registered public accountant for periodic audits, but not less than once a year, and such audits shall be examined by the Trustees for comparison with the Trustees' audit who shall report their conclusions in writing to the Council Delegate Body. The Trustees of the District Council and their representatives shall have access to all records of the District Council necessary to perform their duties in a complete and satisfactory manner. All trustees shall be required to satisfactorily complete a training program provided for by the United Brotherhood. The District Council shall develop and implement policies and procedures for the Trustees which shall state the scope and methods of performing all required duties and be subject to the approval of the United States Attorney and the Review Officer and set forth in a separate document incorporated herein by reference. If the District Council does not submit such policies and procedures to the Review Officer for approval by March 15, 2012, the Review Officer may draft such policies and procedures for approval by the United States Attorney. The Trustees must conduct their duties in accordance with those policies and procedures, and may not modify them without the prior approval of the United States Attorney s Office for the Southern District of New York and, during the Review Officer s tenure, the Review Officer. (B) The District Council has established and shall effectively maintain an Accounting Department, headed by a Chief Accountant. The Accounting Department shall assist the Trustees, Officers and Delegates in implementing financial controls and reporting procedures, and managing the financial operations of the District Council. The District Council shall develop policies and procedures for the Chief Accountant, which shall be subject to the approval of the United States Attorney and the Review Officer, and set forth in a separate document incorporated herein by reference. If the District Council does not submit such policies and procedures to the Review Officer for approval by March 15, 2012, the Review Officer may draft such policies and procedures for approval by the United States Attorney The Chief Accountant must conduct his duties in accordance with those policies and procedures, and may not modify them without the prior approval of the United States Attorney and, during the Review Officer s tenure, the Review Officer. 14

16 (C) The Council Delegate Body shall appoint an individual to fill any vacancies in the positions of Chief Accountant. During the period that the Consent Decree is in effect, no proposed appointment of an individual to the position of Chief Accountant may be finalized without the consent of the United States Attorney. Additionally, during the tenure of the Review Officer, no proposed appointment of an individual to the position of Chief Accountant may be finalized without the consent of the Review Officer. Section 14. WORKING DUES (DUES CHECK-OFF); SPECIAL ASSESSMENTS AND PER CAPITA TAX (A) The Council shall receive working dues in the amount of 1% of the members total package rate as reflected in the current collective bargaining agreement covering members for each hour worked. The Council shall also receive working dues from each member of $.60 per hour for each hour worked, subject to review and modification by the Council Delegate Body after review and report by the Audit Committee. This $.60 will be allocated to Organizing in the amount of $.50 an hour, $.05 for Communications and $.05 for Civic Action. The apportionment of working dues amongst Organizing, Communications, and Civic Action shall be maintained in the same proportions as outlined in the prior sentence, subject to review and modification by the Council Delegate Body after review and report by the Audit Committee. The working dues to this Council shall be due on the first day of the month and must be paid not later than the 15th day of the following month. The Council shall also receive working dues of $500 per year from every carpenter who has performed carpentry work for a signatory contractor in our jurisdiction during the calendar year. This $500 working dues to this Council shall be due on the first day of the month following the first day of work performed in our jurisdiction each year and must be paid not later than April 15th of the following year, provided however, that any member who shall have satisfied his or her Union Participation requirement for the applicable year, pursuant to Section 14(F) of the Bylaws, will receive credit for this $500 working dues requirement. The sums stated in this paragraph shall be reviewed periodically to determine if prudence requires that they be reduced or increased. (B) In case of a deficit in the funds of the Council, as determined by the Executive Committee in consultation with the District Council Accounting Department, the Council may levy a special assessment on each Local Union based on the number of members in the Local. The Council Delegate Body must give 30 days written notice to the Delegates and the principal office of each Local Union prior to such special assessment and shall require a majority vote by secret ballot of the Council Delegate Body at a Special Convention to adopt this special assessment which must be approved by the General Vice-President of the United Brotherhood. No such assessment may be implemented without the Council Delegate Body s approval, and the Executive Secretary-Treasurer shall notify all Local Unions that said assessment must be paid within 30 days from the time of final approval. The Council Delegate Body may establish monthly dues or increase working dues payable to the Council by a majority vote of the Delegates voting at a Special Convention of the Council 15

17 held upon not less than 30 days' written notice to the principal office of each Local Union. (C) If a member who owes working dues fails to pay them as provided by these Bylaws, such working dues shall be charged to the member by notice in writing that same must be paid within 30 days to entitle the member to any privilege, rights or donations. If the member does not make payment of arrears within the time prescribed, the member shall not be in good standing and he or she shall be notified in writing that unless the amount owing is paid within 30 days thereafter his or her name shall be stricken from membership. Notices shall be sent to the last known address of the member reported by the member to the Local Union. (D) For any quarter in which less than 90% of a Local Union's membership have not signed authorization cards providing that working dues will be paid to the Council, a per capita tax shall be payable by such Local Union to the Council based on the number of non-participating members. (E) The Council may impose a per capita tax on each Local in the amount of $11 per member. The Council may increase the amount of the per capita tax by majority vote of the Delegates voting at a special convention held by the Council upon not less than thirty days written notice to the principal office of each Local Union. (F) Pursuant to a Stipulation and Order entered into between the District Council and the United States Attorney entered on September 7, 2001, it shall be mandatory that each active member perform at least 1 day or 7 hours of union activity (picketing, etc.) per calendar year when called upon by the New York City District Council of Carpenters. The District Council shall call upon members to perform such activity on a fair and equitable basis. Section 15. MONTHLY DUES (A) The monthly dues payable to the Local Unions in this Council shall be established by the Local Unions and must be adequate to enable each Local Union to operate efficiently in the best interests of its membership. The Audit Committee shall annually review the amount of dues levied by each local to ensure both their adequacy and reasonableness, and shall report on those subjects to the Delegate Body. (B) Monthly dues payable by the members to the Local Unions shall not be increased except upon the approval by majority vote by secret ballot of the members in good standing voting at a general or special membership meeting after reasonable notice or by majority vote of the members in good standing in a membership referendum conducted by secret ballot. In addition, monthly dues payable to Local Unions must be approved by the Council. (C) Each Local Union shall furnish the Council with a correct monthly report of all members as indicated by the International per capita sheet. 16

18 COUNCIL REPRESENTATION Section 16. (A) Each Local Union shall elect a Delegate or Delegates to the Council Delegate Body in accordance with the Constitution and Laws of the United Brotherhood governing nomination and elections in subordinate bodies. The ratio of representation from each Local Union to the Council Delegate Body shall be as follows. There shall be a total of One Hundred (100) Delegates to the District Council from the Local Unions, such Delegates to comprise the Council Delegate Body. Each Local Union shall have at least one Delegate to the District Council, with the remaining Delegates allocated proportionally amongst the Local Unions based upon the total membership of each Local Union as a percentage of the aggregate membership of all Local Unions of the District Council. No more than Fifty Percent (50%) of the Delegates representing any Local Union may be employees of the District Council. No individual employed by the District Council on the day these Bylaws go into effect shall be included in the calculation of the Fifty Percent (50%) limit referred to in the prior sentence, unless the individual s employment by District Council is terminated. (B) Each Local Union shall submit to the Executive Secretary-Treasurer the correct number of members on its rolls from month to month on and after the first meeting of each month. The Executive Secretary-Treasurer shall notify each Local Union by mail, no later than April 15th of the year of each general election of Local Union Delegates to this Council, the correct number of Delegates each Local Union is entitled to have elected. DELINQUENT LOCAL UNIONS Section 17. A Local Union owing per capita tax for two months and the same not being paid by the end of the third month, such Local Union Delegates shall not have a vote or voice in the Council. When a Local Union owes a sum equal to three (3) months per capita tax to the Council, its Delegates will not be entitled to a seat in that body nor shall the members of the delinquent Local Union be entitled to the work card of the Council. DELEGATE CREDENTIALS Section 18. Recording Secretaries of Local Unions must forward credentials of Delegate or Delegates from their Local Union to the Council properly signed by the President and Recording Secretary with the seal of the Local Union affixed. They shall be referred to the Executive Committee who shall investigate the same and report their findings to the Council with recommendation thereof. DELEGATES ATTENDING MEETINGS Section 19. Any Delegate to this Council failing to attend its meetings shall upon the third (3rd) offense, provided they are successive and no reasonable excuse is presented and accepted by a majority vote of the Council Delegate Body, stand suspended and his Local Union shall be so notified. 17

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